“Logistic” Results. What Logisticians Can Thank the Past Year for.
Transportation of goods by various modes of transport is a necessary part of the world economy.
Today the multimodal sector of the world accounts for 98% of traffic.
Let us consider in more detail the current state of the multimodal transport market, its trends and prospects.
Let’s start with a sea
The trend towards the transition to business automation this year affected logistics in general, and the sea freight market in particular. A new modern berth has been opened in the port of Novorossiysk, aimed at automating processes, which means that the processing speed and service for customers are improving.
In addition, most shipping lines, such as Maersk and FESCO are trying to switch to an electronic system of quotations, in order to make it easier, faster and more transparent for the customer to receive a calculation for the goods delivery from point A to point B.
"We’re trying to be "in the loop", using the systems of our partners’ sea lines. This helps to give a prompt response to the client at market value, which is a huge plus for our work", - says Denis Bobrakov, Commercial Director of ACEX in Novorossiysk. "More and more companies are trying to implement online calculators in their systems, because people do not want to communicate with each other, with managers. It is easier to get an answer from soulless automations than from a person."
Due to the fact that the preference is increasingly given to road transport (as a more affordable type of transportation), more and more new types of deliveries are appearing in some routes.
"Of course, for many forwarding organizations engaged in sea container transportation, this has caused a decrease in cargo volumes, but, fortunately, the experience and service of our company helped us not only to "stay afloat" in all senses of the expression, but also to increase this year's performance by 40% compared to 2018, " - says Denis Bobrakov.
Continuing on a road
Cargo transportation by Russian transport for 10 months of this year amounted to 6.87 billion tons. This is 2.1% more than in 2018. Almost all modes of transport showed a decline in volumes. However, only road transport increased by 3.8% and amounted to 4.7 billion tons (according to SeaNews).
Why is this happening? The answer is simple. Trucking is the most budget type of cargo delivery, using which many cargo owners significantly save on delivery.
"Despite the fact that roads have become more expensive all over Germany and, as a result, transportation rates have increased, our services continue to be in demand. The transport sector in Europe continues to grow, the turnover of the company increases and the road transport entrusted to ACEX becomes even more", - comments Edvinas Neverovskis, Director of ACEX representative office in Lithuania.
In addition, there is a positive trend in the development of road transport from China – new directions are opened, new ways of cargo delivery are used.
"In addition to the usual air cargo delivery, we are actively developing the road and railway direction Suzhou-Russia, and we are consistently making deliveries without the use of aircraft, which indicates the great potential of this direction," - said Ken Hui, CEO of FANS TRANS, ACEX member in Hong Kong.
Don’t forget about air
Cargo transportation by Russian transport since January to October this year amounted to 6.87 billion tons. This is 2.1% more than a year earlier. At the same time, as for air transportation, their figures decreased by 4.6% and amounted to 0.93 million tons this year (according to the portal Seanews).
This year, the international air transportation market was affected by another event: the largest international airport "Daxing" was opened 46 km from Beijing. By 2025 on its territory it is planned to handle up to 2 million tons of cargo annually.
"We have started to sign agreements with new airlines based at Daxing Airport. China Southern Airlines and China Eastern Airlines are our next big target! "- comments Jack Zhao, CEO of SkyChain, ACEX member in Beijing. "In addition, in the near future we are opening our own warehouse in Daxing, which will help us handle the largest number of shipments!".
Currently, the main policy of the state is focused on import substitution of goods of foreign manufacturers. In addition, import substitution is beginning to transform into export orientation, which significantly affects the work of Russian freight forwarders.
"Nowadays, we see a trend in the fact that Russian manufacturers not only replace import goods that were previously purchased in Europe, but also begin to produce them for export, thereby increasing the number and volume of goods deliveries for the ACEX Alliance companies," says Miroslav Zolotarev, ACEX Board Director.
Finishing on railway lines
This year, carriage of goods by rail decreased by 0.7%, which amounted 1,067 billion tones (according to SeaNews).
One of the main news in the field of railway transportation in 2019 was the announcement of three electronic platforms: "Digital Logistics" (operator of the electronic trading platform "Freight transportation "of Russian Railways), "Rail Commerce "(operator of the Railcommerse wagon exchange) and "Simple transportation" (operator of the wagon aggregator Vagonline) about the beginning of joint work.
The Association of 3 sites suggests that it is almost impossible to master the railway transportation market by one company, as well as small operators survive. Companies with up to 1,000 wagons on the balance sheet either sell them or rent them to big players.
"If the service that will be offered is simple and flexible, then development is inevitable! The use of such a system will be possible for us, freight forwarders, if it is more convenient and cheaper than working with operators under direct contracts, " comments Oleg Degtyarev, Director of RusTrans, ACEX member in Moscow.
In conclusion, we can say that the trend towards automated processes, opening of new transport routes and the unification of the major players in the railway market shows that the development of multi-modal industry is positive, in which stable growth of the freight market was, is and will be.